Phantasmix Stock Market Blog

(DGP: 46.21 -0.84%)
Short @ $16.90, Jan 6
Covered @ $15.74, Jan 12

P&L: 6.53%

No doubt gold is going lower, but I’m clearing out as many positions as I can before Friday. Going on vacation.

Click charts to enlarge

(DGP: 46.21 -0.84%) — Short @ $16.90

Though RSI(3) indicates that gold is short-term oversold, I’ve highlighted 2 recent occasions when it was oversold and kept dropping further.
As of this moment, US$ is moving up and gold is dropping.
My target is still tied to GLD, but I’m guessing it’ll be around 50dma on DGP as well, or $15.

(PWE: 14.01 +0.07%) — Short @ $13.24

50dma is lower today, overall PWE behaving as expected with all the indicators starting to correct.
Stock went down on slightly higher volume today, but not significantly.

SPX — S&P 500 Index

Well… I have Jan $75 puts, as insurance against a dramatic plunge, because I’m still slightly paranoid. I have that TZA which is a 3x Small Cap Bear ETF. And I bought Feb $92 SPY calls (that I sold yesterday, re-bought them cheaper today). So though overall I’m net short the market, I’m slightly hedged. Saw a “signal” indicating that SPY should be at $91.50 at some point tomorrow, we’ll see.

RSI(3) worked off the overbought condition pretty fast.
Volume was slightly lower today.
Closed at support. Should it break, SPX will go to 50dma.
Pivot points for tomorrow:
R1 921.98; S1 896.90; R2 937.25; S2 887.09, DP 912.17

• Bought TZA
• Wrote a covered call on TZA – if called, 11% profit, 22.5% downside protection
• TZA for a quick trade, bought and sold
• Shorted SSO twice
• Shorted SDS

Holding overnight:

Short (DGP: 46.21 -0.84%)
Short (PWE: 14.01 +0.07%)
Long (TZA: 21.639 -1.82%) with a sold covered call (Feb $40)
Short (SDS: 16.94 -0.18%)
Short (FSLR: 14.26 +4.85%) Lord help me

Edit: I covered SDS and opted instead for two Feb’09 $92 SPY calls.

I will post DGP, PWE and SPX charts later.